Safilo Group SpA (SFL) AI Stock Analysis

• Market Cap: €810.49M
• Dividend Yield: N/A
• Average Volume (3M): 1.40M
• Price to Earnings (P/E): 17.1
• Beta (1Y): 1.28
• Revenue Growth: -0.76%
• EPS Growth: 2341.30%
• Country: IT
• Employees: 3,352
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.10
• Shares Outstanding: 415,638,150
• 10 Day Avg. Volume: 1,829,853
• 30 Day Avg. Volume: 1,402,367
• PEG Ratio: -0.09
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.39
• P/FCF Ratio: 5.97
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €1.70
• Price Target Upside: -13.27% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: €2.50 ▲(27.55% Upside)
• Action: Reiterated Date: 01/31/26
• Date: Action: Reiterated 01/31/26

The score is driven primarily by improving financial quality—stronger profitability and sharply higher free cash flow with a stable balance sheet—supported by a clear technical uptrend. Valuation is moderate (P/E ~19) and does not materially boost the score, especially with no dividend yield data.

Positive Factors

Return to Profitability

Restoring positive net margin reflects durable operational improvements and cost control. A return to profitability increases internal funding for product development and marketing, reduces reliance on external financing, and strengthens the firm's ability to withstand industry cyclicality over months.

Strong Free Cash Flow Generation

Material FCF growth and high cash conversion indicate sustainable cash generation capacity. Robust FCF supports deleveraging, reinvestment in product innovation and channel expansion, and provides flexibility to manage licensing costs and seasonal inventory needs over the medium term.

Stable Balance Sheet and Moderate Leverage

Moderate leverage and an improved equity ratio provide financial flexibility and lower refinancing risk. A stable balance sheet supports sustained investment in brand partnerships and working capital, enabling operational stability across business cycles over coming quarters.

Negative Factors

Persistent Revenue Contraction

Consecutive annual revenue declines signal structural demand or market-share challenges. Continued top-line shrinkage undermines scale economics, limits margin improvement potential, and reduces strategic flexibility for marketing and R&D investments over a multi-quarter horizon.

Dependence on Licensed Brands

Heavy reliance on licensed luxury brands concentrates revenue risk on contract renewals and partner relations. Licenses can reduce margin via royalties and limit control over brand strategy, leaving the business exposed if key partnerships change or terms become less favorable.

Low Absolute Profitability

Although margins improved, the low absolute net margin offers modest buffers against cost shocks and limits retained earnings for reinvestment. Sustaining competitive R&D, marketing and channel investment will be harder with such thin long-term profitability.

Safilo Group SpA Business Overview & Revenue Model

Company Description

Safilo Group S.p.A. engages in the design, production, wholesale, and retail distribution of products for the eyewear market in North America, Europe, the Asia Pacific, and internationally. Its brand portfolio comprises a set of own branded products, such as optical frames, sunglasses, sports goggles, and helmets, as well as licensed brands,including prescription frames and sunglasses. The company offers its products under own brands comprising Carrera, Polaroid, Safilo, Smith, Blenders Eyewear, and Privé Revaux, as well as Adensco, Chesterfield, Elasta, and Emozioni; and licensed brands, such as Banana Republic, BOSS, Carolina Herrera, Chiara Ferragni, David Beckham, Dsquared2, Fossil, havaianas, HUGO, Isabel Marant, Jimmy Choo, Juicy Couture, Kate Spade, LEVI'S, Liz Claiborne, Marc Jacobs, Missoni, M Missoni, Moschino and Love Moschino, Pierre Cardin, PORTS, rag&bone, Rebecca Minkof, Tommy Hilfiger, Tommy Jeans, Under Armour, and Liz Claiborne brand. It serves opticians, optometrists, ophthalmologists, distribution chains, department stores, specialized retailers, and licensors' own stores, as well as duty free and sports shops. The company sells its products through a network of independent distributor partners. The company was formerly known as Safilo Holding S.p.A. and changed its name to Safilo Group S.p.A. in September 2005. Safilo Group S.p.A. was founded in 1878 and is headquartered in Padua, Italy.

How the Company Makes Money

Safilo Group generates revenue primarily through the sale of eyewear products, which include sunglasses, prescription glasses, and sports eyewear. The company operates a dual revenue model: it sells products under its own brands, such as Safilo and Carrera, and also holds licenses for prestigious brands like Dior, Fendi, and Jimmy Choo. Key revenue streams include direct sales to retailers, e-commerce platforms, and wholesale distribution. Significant partnerships with luxury fashion houses enhance Safilo's product offerings and brand visibility, allowing the company to tap into high-value markets. Additionally, Safilo invests in marketing and product innovation to maintain a competitive edge and drive sales growth.

Safilo Group SpA Financial Statement Overview

Summary

Profitability and cash generation improved materially (net margin returned to +2.24% in 2024; free cash flow up 87.4% with strong cash conversion), while the balance sheet remains stable with moderate leverage (debt-to-equity 0.31). The main offset is continued revenue contraction in 2023 and 2024.

Income Statement

The company's revenue has been volatile, showing a decline in recent years, with a 3.3% decrease from 2022 to 2023 and a further 3.1% decrease from 2023 to 2024. Despite this, the gross profit margin in 2024 improved to 56.6% from 58.7% in 2023, indicating better cost management. The net profit margin improved significantly to 2.24% in 2024 from a negative 2.4% in 2023, showing a return to profitability. EBIT and EBITDA margins also improved, signaling operational efficiency gains.

Balance Sheet

The company's balance sheet is stable, with a debt-to-equity ratio of 0.31 in 2024, indicating moderate leverage. The equity ratio improved to 49.0% in 2024, suggesting a healthy balance between debt and equity financing. Return on equity increased to 5.4% in 2024, indicating better shareholder value creation compared to previous years.

Cash Flow

The company has shown strong cash flow performance with a 87.4% growth in free cash flow from 2023 to 2024. The operating cash flow to net income ratio was 3.42 in 2024, indicating strong cash generation relative to net income. The free cash flow to net income ratio was 2.90, showing efficient cash conversion from earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	998.89M	993.22M	1.02B	1.08B	969.58M	780.30M
Gross Profit	586.40M	561.73M	601.74M	597.45M	445.64M	305.25M
EBITDA	102.14M	90.49M	56.35M	129.10M	109.37M	-16.27M
Net Income	46.40M	22.30M	-24.65M	54.16M	21.27M	-72.97M
Balance Sheet
Total Assets	800.65M	842.34M	855.46M	960.27M	937.77M	913.92M
Cash, Cash Equivalents and Short-Term Investments	72.57M	47.42M	74.90M	77.71M	99.00M	88.97M
Total Debt	114.93M	140.54M	157.60M	191.11M	192.96M	311.04M
Total Liabilities	386.86M	414.88M	459.68M	521.35M	571.68M	727.55M
Stockholders Equity	401.08M	413.07M	379.20M	409.92M	326.74M	143.25M
Cash Flow
Free Cash Flow	80.34M	64.65M	34.50M	-6.71M	-2.66M	-23.38M
Operating Cash Flow	89.55M	76.22M	47.71M	9.16M	17.30M	885.00K
Investing Cash Flow	681.00K	-48.87M	-8.65M	-15.67M	-9.76M	-133.20M
Financing Cash Flow	-76.84M	-54.83M	-40.47M	-16.81M	2.07M	168.89M

Safilo Group SpA Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.96
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:SFL, the sentiment is Neutral. The current price of 1.96 is below the 20-day moving average (MA) of 2.02, below the 50-day MA of 1.98, and above the 200-day MA of 1.51, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.40 is Neutral, neither overbought nor oversold. The STOCH value of 18.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IT:SFL.

Safilo Group SpA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MONC	74 Outperform	€13.62B	22.25	18.89%	2.32%	0.87%	-5.61%
SFL	72 Outperform	€810.49M	17.06	11.48%	―	-0.76%	2341.30%
PIRC	66 Neutral	€6.32B	12.74	8.81%	4.33%	1.64%	14.73%
ICOS	65 Neutral	€1.16B	24.59	―	1.79%	9.02%	4.80%
BC	56 Neutral	€5.85B	44.39	28.41%	0.95%	10.35%	15.89%
SFER	55 Neutral	€1.11B	-8.43	-20.18%	1.24%	-8.65%	-1512.63%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Safilo Group SpA Corporate Events

Safilo Completes €18 Million Share Buyback, Lifts Treasury Stake to 5.6%

Safilo Group S.p.A. has completed its share buyback programme, originally announced in June 2025 and carried out under a mandate from the shareholders’ meeting, after fully using the €18 million in cash allocated to the initiative. Over the course of the programme, the company repurchased 12,245,488 ordinary shares, equal to about 2.95% of its share capital, at a weighted average price of approximately €1.47 per share, bringing its total treasury share position to 23,245,488 shares, or around 5.60% of outstanding stock. The move consolidates Safilo’s ownership of its own equity and may support capital management flexibility and shareholder value initiatives, while signalling confidence in the company’s prospects to the market.

The most recent analyst rating on (IT:SFL) stock is a Hold with a EUR1.70 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Updates Share Capital Composition to Support Growth

Safilo Group S.p.A. has updated its share capital composition following the issuance of 35,308 new ordinary shares to support the company’s stock option plan. Despite the additional shares, the overall share capital remains unchanged. This move underscores Safilo’s strategy to retain and incentivize talent, aligning stakeholder interests and demonstrating the company’s commitment to long-term growth and innovation in the eyewear industry.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Updates on Share Buyback Progress

Safilo Group S.p.A. has updated its shareholders on the progress of its share buyback program, which was initiated in June 2025. Between December 8 and December 12, 2025, the company purchased 171,000 ordinary shares on the Euronext Milan market, bringing its total holdings to approximately 5.56% of its outstanding shares. This buyback program is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Advances Share Purchase Program with Strategic Acquisitions

Safilo Group S.p.A. announced the execution of its share purchase program, acquiring 200,000 ordinary shares between December 1 and December 5, 2025, at an average price of 1.878390 euros per share. This brings the total shares purchased under the program to 11,902,492, representing approximately 5.52% of the outstanding shares, indicating a strategic move to consolidate its market position and potentially enhance shareholder value.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group’s Active Share Transactions on Euronext Milan

Safilo Group S.p.A. announced a series of transactions involving its shares on the Euronext Milan market, conducted by Kepler Cheuvreux SA. These transactions, which occurred over several days in November 2025, involved significant quantities of shares and varied in average weighted prices, indicating active trading and potential implications for market stakeholders.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Completes Share Purchase Program, Strengthening Market Position

Safilo Group S.p.A. announced the completion of a share purchase program, acquiring 200,000 ordinary shares between November 24 and November 28, 2025. This acquisition brings the company’s total holdings to approximately 5.47% of its outstanding shares, reflecting a strategic move to consolidate its market position.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Considers Revised Offer for Inspecs Group

Safilo Group S.p.A. has made an initial approach to Inspecs Group regarding a potential acquisition of its Eschenbach Group and BoDe activities, followed by two non-binding cash offers to acquire Inspecs’ entire share capital, both of which were rejected. Safilo is evaluating its options, including a revised offer, with a deadline set for December 18, 2025, to announce its intentions, which could significantly impact its market positioning and stakeholder interests.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Announces Change in Share Capital

Safilo Group S.p.A. has announced a change in its share capital following the partial execution of stock option plans approved in previous years. Between October and November 2025, the company issued 280,807 new ordinary shares, aligning with its strategic initiatives to enhance shareholder value. This change reflects Safilo’s ongoing commitment to its growth strategies and may impact its market positioning by potentially increasing investor interest and confidence.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Advances Share Purchase Program

Safilo Group S.p.A. announced the progress of its share purchase program, acquiring 575,000 ordinary shares between November 3 and November 7, 2025, at a total countervalue of 1,017,287.14 euros. This acquisition brings the company’s total holdings to 22,027,492 shares, representing approximately 5.31% of the outstanding shares, potentially strengthening its market position and signaling confidence in its future prospects.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Achieves Positive Financial Milestone Amidst Stable Sales Growth

Safilo Group S.p.A. reported stable sales growth and improved margins in the third quarter of 2025, despite challenges from exchange rates and tariffs. The company achieved a positive net financial position for the first time, driven by strong cash generation and effective management of working capital. Sales were supported by robust performance in Europe and growth in Asia and the Pacific, offsetting flat trends in North America. The company’s strategic focus on its contemporary and lifestyle brands contributed to its resilience in a challenging market environment.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.

Safilo Group Updates on Share Repurchase Program Progress

Safilo Group S.p.A. has updated its shareholders on the progress of its share repurchase program, which began in June 2025. As of October 31, 2025, the company has acquired a total of 10,452,492 shares, representing approximately 5.17% of the outstanding shares. This strategic move could strengthen Safilo’s market position and potentially enhance shareholder value.

The most recent analyst rating on (IT:SFL) stock is a Buy with a EUR2.00 price target. To see the full list of analyst forecasts on Safilo Group SpA stock, see the IT:SFL Stock Forecast page.